Asset Finance


Consumer Finance


Motor Finance


Consumer new car finance volumes up 12% in April

10 June 2016

New figures released today by the Finance & Leasing Association (FLA) show that the point-of-sale (POS) consumer new car finance market grew 17% by value and 12% by volume in April, compared with the same month last year.

The percentage of private new car sales financed by FLA members through the POS reached 83.6% in the twelve months to April, up from 82.7% in the twelve months to March.

The POS consumer used car finance market also reported further new business growth in April of 9% by value and 8% by volume.

Geraldine Kilkelly, Head of Research and Chief Economist at the FLA, said:

“Growth in new business volumes reported by the POS consumer car finance market was relatively steady in April and in line with the industry’s expectations of achieving solid single-digit growth in 2016 as a whole.”

Table 1: Cars bought on finance by consumers through dealerships

New business

Apr 2016

% change on prev. year

3 months to Apr 2016

% change on prev. year

12 months to Apr 2016

% change on prev. year

New cars

Value of advances (£m)

1,456

+17

5,460

+18

17,215

+18

Number of cars

85,436

+12

321,189

+12

1,026,978

+12

Used cars

Value of advances (£m)

1,163

+9

3,530

+13

12,663

+13

Number of cars

109,821

+8

332,188

+10

1,189,649

+10

 

Table 2: Cars bought on finance by businesses

New business

Apr 2016

% change on prev. year

3 months to Apr 2016

% change on prev. year

12 months to Apr 2016

% change on prev. year

New cars

Number of cars

51,182

-3

140,755

+4

513,931

+3

Used cars

Number of cars

2,983

-6

9,516

-10

37,312

-8

 

Note to editors:

  1. In 2015, FLA members provided £110 billion of new finance to UK businesses and households. £81 billion of this was in the form of consumer credit, almost a third of total new consumer credit written in the UK in 2015. £37 billion of it supported the purchase of new and used cars, including over 80% of private new car registrations.